Trade Restriction and its Implications on Domestic Production of Rice in Nigeria

Abstract

This study ascertained whether rice trade restriction policies embarked upon by Nigerian government between 2007 and 2019 as a way of boosting domestic rice production has any empirical justification. To achieve this objective, the study utilised time series data on domestic rice production (DP), border closure (BC), Rice import tariff (Tariff), Volume of rice imported (Imp) and Food price deflator for crop production sub-sector (Def). These data were analysed using descriptive and bivariate tools as well as the OLS regression models. The study found that trade restriction (proxied rice import tariff and border closure) alone was not effective in stimulating domestic rice production. A combination of other non-trade factors (e.g. measures to enhance local productive) also matter.